25 Jun 2013
USD/CAD supported 1.0460
FXstreet.com (London) - USD/CAD is supported at 1.0460/70, and is currently being tested to the downside in London.
Yesterday, USD/CAD had been clearing resistance at 1.0525 to print a high of 1.0558, a big figure below the 2011 highs. Traders will potentially need to risk buying on dips through the gap, should the market dictate such a break of support, before targeting higher highs. This is on the basis that the dollar has come under pressure due to Fed officials warning not to take the FOMC hawkish comments too hastily. CAD has been the least resilient to the dollar so far, and is lagging. Data for the pair today will come in the form of a raft of US numbers in the afternoon, Durable Goods, Housing Price Index, Consumer Confidence and New Home Sales. And Treasury sec Lew is speaking late in the evening.
USD/CAD bearish below pivot
The daily chart shows us that the pair was unable to break through the top of the ascending channel and has been rejected. While the longer term and broader trend line is rising, near term risks lie to the downside while trading below 1.0530 resistances and the pivot 1.0509. EMA50 acts as support with SMA100 1.0382 net support before SMA200 at 1.0283. 1.0180/1.0220 are last week’s ranges on Wednesday before the FOMC.
Yesterday, USD/CAD had been clearing resistance at 1.0525 to print a high of 1.0558, a big figure below the 2011 highs. Traders will potentially need to risk buying on dips through the gap, should the market dictate such a break of support, before targeting higher highs. This is on the basis that the dollar has come under pressure due to Fed officials warning not to take the FOMC hawkish comments too hastily. CAD has been the least resilient to the dollar so far, and is lagging. Data for the pair today will come in the form of a raft of US numbers in the afternoon, Durable Goods, Housing Price Index, Consumer Confidence and New Home Sales. And Treasury sec Lew is speaking late in the evening.
USD/CAD bearish below pivot
The daily chart shows us that the pair was unable to break through the top of the ascending channel and has been rejected. While the longer term and broader trend line is rising, near term risks lie to the downside while trading below 1.0530 resistances and the pivot 1.0509. EMA50 acts as support with SMA100 1.0382 net support before SMA200 at 1.0283. 1.0180/1.0220 are last week’s ranges on Wednesday before the FOMC.